Stock fact sheet · data as of
Sempra (SRE): fair value, margin of safety and Wheel Score
Ticker symbol SRE · Utilities · Diversified Utilities · United States · Blend
Is SRE undervalued?
Sempra (SRE) closed at 82.90 on 5 Nov 2026, 52% above the GLS average fair value of 54.43. 5 of the 6 models that produced a number value the shares below the current price. A gap this wide usually means the market is paying for growth or a story the trailing numbers do not show yet; the models work from filed results, not forecasts, so they are conservative by design.
The 6 models range from 30.46 (Lynch) to 88.55 (Graham Growth). That spread is typical: growth-based methods such as GLS Growth and Lynch run ahead of the asset- and dividend-based ones when earnings are growing, and the average splits the difference.
Ranked against every other company we cover, neither cheapness nor growth clearly wins for SRE, so the nightly engine files it under Blend (value score 33, growth score 49, out of 100).
Nine valuation models for SRE
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | - | - | Present value of the projected free cash flows, discounted at the cost of capital; no value tonight |
| Graham Number | 62.64 | -24% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 88.55 | +7% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 30.46 | -63% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 67.65 | -18% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | - | - | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10%; no value tonight |
| Payback Time | - | - | Eight years of compounded free cash flow: the price at which the business pays for itself; no value tonight |
| DDM | 38.51 | -54% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 38.75 | -53% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -52.06 | -163% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 95.06 | +15% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
On financial health SRE scores 7/9 (Piotroski): most of the nine tests - positive earnings and cash flow, falling debt, rising margins and turnover - are passed, which is the kind of balance sheet a wheel trader is happy to be assigned. The GLS Moat score is 5.1 out of 10: a record that is solid on some of the four parts the score weighs (returns on capital, pricing power, lasting growth, balance sheet) and weaker on others.
Returns on capital are thin or negative - ROIC 2.7%, ROE 5.8%, ROA 1.7% - with debt at 1.15 times equity and negative free cash flow.
The dividend yield is 3.16% at a payout ratio of 73%; for a wheel trader holding assigned shares the dividend adds to the covered-call premium, and the ex-dividend date is worth knowing before a call is sold. Revenue comes mainly from Gas 49%, Electric 42%, Other revenues 9% (quarter Q2 FY2026).
Institutional ownership scores 10/10, insider activity 2/10 and Congressional trading 10/10 on the GLS smart-money scales; the last recorded Congressional buy was on 25 Sep 2026.
| Piotroski F-score | 7 / 9 | ROIC | 2.7% |
|---|---|---|---|
| GLS Moat | 5.1 / 10 | ROE | 5.8% |
| Debt / equity | 1.15 | ROA | 1.7% |
| Free-cash-flow yield | -9.7% | Payout ratio | 73% |
| Institutions | 10 / 10 | Insiders · Congress | 2 · 10 / 10 |
Wheel Score 33: Weak
SRE scores 33 out of 100 on the Wheel Score, in the Weak band (under 50): it fails filter 3, below fair value - trades 52% above our fair value; and filter 5, can repay its debt - 6.1 years to repay its debt (over 6), and the parts are thin too - value weak, premium fair, moat fair, health good, red flags fair, option trading fair, stability strong. The score is not a judgement on the company; it says the price, quality and premium do not line up for selling puts on it today.
Implied volatility is 27% on the near-the-money contracts 20-60 days out: enough to pass the 25-80% Wheel Trade Filter, but under the 35-60% sweet spot the score rewards most. Chain open interest is 13,460 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 11.7M shares a day on a market cap of $54.2B, with a beta of 0.56 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score rates that strong.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Passes | Listed options with 1,000+ contracts of open interest and 100+ traded a day |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Fails | trades 52% above our fair value |
| 4 | Financially healthy | Passes | Piotroski F-score 6 or more out of 9 (a company with no score on file passes) |
| 5 | Can repay its debt | Fails | 6.1 years to repay its debt (over 6) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Passes | Implied volatility 25-80% (enough premium, not a lottery ticket) |
| 8 | Big enough | Passes | Market cap $1 billion or more |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Weak | 52% above fair value | |
| Premium | Fair | implied volatility 27% | |
| Moat | Fair | moat 5.1/10 | |
| Health | Good | Piotroski 7/9 | |
| Red Flags | Fair | Red Flags score 70/100 | |
| Option trading | Fair | 2,188 contracts a day, 13,460 open interest | |
| Stability | Strong | beta 0.56, $54.2B company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
Sempra reports earnings on 5 Nov 2026 (before the open) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.
No analyst upgrades or downgrades were recorded in the last 30 days.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Diversified Utilities
The 9 companies below are the closest to Sempra by market cap within the Diversified Utilities industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| AQNB Algonquin Power & Utilities Corp. | 25.57 | 15.25 | -68% | 21No options | $18.8B |
| BIP Brookfield Infrastructure Partners L.P. | 38.17 | 26.63 | -43% | 26Weak | $17.6B |
| SREA Sempra | 18.82 | 25.40 | +26% | 34No options | $12.3B |
| AES The AES Corporation | 14.90 | 42.67 | +65% | 55Fair | $10.6B |
| BIPH Brookfield Infrastructure Finance ULC 5 % Notes 2021-24.05.81 Global | 15.25 | 18.88 | +19% | 21No options | $5.6B |
| AQN Algonquin Power & Utilities Corp. | 5.64 | 3.35 | -68% | 31Weak | $4.3B |
| AVA Avista Corporation | 40.17 | 39.98 | -0% | 23Weak | $3.4B |
| UTL Unitil Corporation | 56.54 | 34.87 | -62% | 30Weak | $1.0B |
| TVC Tennessee Valley Authority | 23.88 | 18,707.36 | +100% | 31No options | $13M |
Scan the whole market the same way
A free GLS Equity account gets you nightly fair value and the Wheel Score on ~7,400 US stocks, a watchlist, the scanner preview and the Sunday Scan - the top 10 stocks that pass all 9 Wheel Trade Filters, emailed every week. Pro adds the full put and call scanners, unlimited watchlists with alerts and the trade journal.
Start free See the Sunday ScanQuestions about SRE
Is SRE undervalued right now?
No: at 82.90 the stock trades 52% above the GLS average fair value of 54.43 (data as of 5 Nov 2026), well beyond what trailing earnings, cash flow and book value support.
What is the Wheel Score of SRE and what does it mean?
SRE scores 33 out of 100 (Weak) - it fails Wheel Trade Filters 3, 5. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for SRE?
54.43 per share as of 5 Nov 2026 - the simple average of the 6 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Sempra report earnings next?
The next earnings report is due on 5 Nov 2026 (before the open), 0 days from the data date of 5 Nov 2026. The Calendars page lists every upcoming report with its time of day.
Does SRE have listed options, and how liquid are they?
Yes. The nightly snapshot found 78 listed contracts with 13,460 open interest across all expiries and implied volatility of 27% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.